Loss-making airline SAS will shed nearly 6,000 staff through cuts and asset sales to secure loans from banks and Nordic governments to help it survive a global downturn and fierce competition.
SAS (SAS.ST), one of the European flag-carriers being squeezed by discount carriers such as Ryanair (RYA.I) and Norwegian (NWC.OL), has not made a full-year profit since 2007. Without the loans, SAS might have to stop flying.
It said 800 jobs would be cut and the sales of regional airline Wideroe and the group’s ground handling unit would reduce staff to around 9,000 in total from 15,000 now.
Announcing its new savings plan on Monday, it said it expected a slight pretax loss again this year.
“This truly is our ‘final call’ if there is to be a SAS in the future,” said SAS chief executive Rickard Gustafson…